Benzinga | Jun 3, 2021 10:31AM EDT

Sphere 3D Announces Merger with Bitcoin Miner Gryphon Digital Mining

* Sphere 3D Corp (NASDAQ:ANY) inked an agreement and plan of merger with Gryphon Digital Mining, Inc, which focuses on bitcoin mining using renewable energy.

* Sphere 3D will change its name to Gryphon Digital Mining, Inc under the arrangement.

* Sphere 3D will issue 111 million shares worth roughly $193.1 million (based on Wednesday's closing price of $1.74) to the Gryphon shareholders as merger consideration. Sphere 3D and Gryphon shareholders will own 23% and 77% of Gryphon Digital Mining, respectively. The merger is expected to close in Q3 of 2021.

* Gryphon CEO Rob Chang will become the new company CEO. The board will be comprised of seven directors, including two members from Sphere 3D's board.

* Price action: ANY shares traded higher by 5.7% at $1.84 on the last check Thursday.